When buyers compare computer monitor factories in China, they usually compare specifications, order quantities and quoted prices. Many do not ask how the factory handles VAT and export tax refunds. That is a mistake.
At Yanxun Display, we process export tax refunds every month. We purchase monitor panels, controller boards, housings, stands, power adapters, cables and packaging materials with VAT included. After the finished monitors are exported through the correct trade and payment process, we apply for the eligible VAT refund.
This is not a theoretical tax calculation. It is a process we have completed repeatedly, from purchasing materials and collecting documents to receiving the refund from the Chinese treasury. The result directly affects the cost base of a computer monitor order.
Where the 13 Percent VAT Enters the Monitor Cost
Most materials used in our computer monitors are purchased with 13% VAT.
For example, if the material value before VAT is RMB 100,000:
- Material value: RMB 100,000
- VAT at 13%: RMB 13,000
- Total amount paid to suppliers: RMB 113,000
The RMB 13,000 is real cash paid during purchasing. It is not an accounting idea and it cannot simply be ignored when calculating the cost of an order.
Illustrative 27-Inch Monitor Quote
Using the same RMB 400 base product cost and RMB 40 manufacturing margin, the payment and export structure changes the final quotation immediately:
| Calculation | Compliant export order | Ordinary domestic RMB payment |
|---|---|---|
| Base product cost per unit | RMB 400 | RMB 400 |
| Unrecovered 13% VAT cost | RMB 0 — recovered through the export refund | RMB 52 |
| Manufacturing margin | RMB 40 | RMB 40 |
| Final quote per unit | RMB 440 | RMB 492 |
| 500-unit order | RMB 220,000 | RMB 246,000 |
Direct result: the compliant export structure is RMB 52 lower per monitor and RMB 26,000 lower across 500 units—10.6% below the domestic-RMB total in this example.
For a live order, we replace the example figures with the selected panel, specification, packaging, quantity and confirmed customs product code.
For our qualified computer monitor exports, the eligible VAT is recovered through the export tax refund process. This allows us to calculate the export quotation from the underlying product cost plus a reasonable manufacturing margin instead of permanently adding the VAT to the cost.
China's VAT rules apply a 13% rate to most goods and provide a zero rate for exported goods unless otherwise specified. The exact export refund rate must still be matched to the declared product code. Buyers can review the China VAT Law on the tax authority website.
How We Complete the Export Tax Refund Process
We run the process as a complete evidence chain. Every commercial, customs, logistics and payment document must correspond to the same genuine export transaction.
- We purchase monitor materials and obtain valid VAT invoices.
- We sign the sales contract with the overseas customer.
- We prepare the commercial invoice and packing list.
- We declare the finished monitors for export under the correct product code.
- We ship the goods and retain the bill of lading or other transport documents.
- We receive the customer's payment into the company's registered bank account.
- We match the contract, invoices, customs declaration, shipment and payment records.
- We submit the export tax refund declaration.
- We cooperate with document reviews or an on-site tax inspection when required.
- The approved refund is credited to our company bank account.
We have completed this full process ourselves, and we continue to submit export tax refund applications every month.
Current export refund administration rules require exporters to retain contracts, transport documents and customs-service documents. They also define the collection deadline and recognize bank receipts or settlement slips as payment evidence. The details are set out in the State Taxation Administration export refund rules.
A Real Export Tax Refund Received by Our Company
On June 8, 2026, an export tax refund of RMB 101,871.68 was credited to our company bank account. The bank record identifies the payment as an electronic treasury refund and names Shenzhen Yanxun Display Technology CO., LTD. as the recipient.
The image below is the real bank receipt. We have covered the QR code, transaction serial number, taxpayer identification number and bank account numbers before publication. The transaction date, refund amount, company name and refund description remain visible.
Why the Payment Route Matters
For our standard export orders, the overseas customer remits the agreed foreign currency to our company's registered bank account. This creates a traceable payment record that matches the sales contract, commercial invoice, customs declaration and shipment. The money flow and goods flow support the same transaction.
If a buyer makes an ordinary RMB payment inside mainland China, we do not treat that payment as the same settlement chain used for our standard export tax refund orders. We calculate that transaction using domestic payment logic: product cost + VAT + manufacturing margin.
A compliant cross-border RMB payment can support the same export tax refund process as foreign-currency collection. The overseas buyer sends RMB through a bank-supported cross-border route—such as CIPS or a correspondent-bank/Vostro arrangement—and we receive it in our company's registered bank account as payment for the declared export transaction. The sales contract, commercial invoice, customs declaration, shipment and RMB receipt must all identify the same genuine trade.
China's current export refund rules expressly accept an RMB receipt voucher as collection evidence for cross-border trade settled in RMB. The People's Bank of China also identifies CIPS, correspondent-bank and clearing-bank arrangements as established cross-border RMB channels. Buyers can review the 2026 export refund management rules and the People's Bank of China explanation of CIPS and correspondent-bank settlement.
Buyers should therefore confirm the payment structure before comparing quotations. Two prices may look similar while being based on completely different tax and export arrangements.
How the Refund Changes the Buyer's Cost
A factory that can complete the export tax refund process can quote an eligible export order from a more competitive cost base.
Qualified export order: product cost + manufacturing margin.
Transaction without a usable refund chain: product cost + 13% VAT + manufacturing margin.
The difference can be substantial on a container order.
The saving does not mean the buyer avoids all import taxes. China's export tax refund affects the supplier's China-side cost and can reduce the FOB price. It does not cancel customs duty, import VAT, brokerage fees, freight or insurance charged in the destination country.
How to Verify a Monitor Factory's Export Tax Refund Capability
Before placing a wholesale monitor order, ask the supplier the following questions:
- Does the factory process export tax refunds regularly?
- Which company name appears on the sales contract?
- Which company issues the commercial invoice?
- Which company appears on the customs declaration?
- Which company receives the overseas payment?
- Are the material VAT invoices issued to the exporting company?
- Can quantities and values be matched across the invoice, packing list, customs declaration and bill of lading?
- Can the supplier provide redacted evidence of a completed tax refund?
The legal entity, goods, values, logistics documents and payment records must form one consistent transaction.
Check the Refund Rate by Product Code
Do not rely only on a supplier's verbal statement about the refund rate. The rate should be checked using the exact customs product code declared for the exported monitor.
China's State Taxation Administration provides an official export tax refund rate search showing the applicable VAT rate and export refund rate.
For our current computer monitor exports, we process the applicable refund at 13%. We confirm the product classification and current rate as part of every declaration.
What Buyers Should Confirm Before Ordering
A competitive wholesale monitor price requires more than inexpensive components. The factory must also manage purchasing invoices, production records, customs declarations, shipping documents, payment settlement and tax filings correctly.
We have run this process ourselves and continue to complete it every month.
When you request a quotation from Yanxun Display, tell us the destination country, monitor specification, order quantity and intended payment method. We can structure the order correctly from the beginning and explain how the export arrangement affects the quotation.
You can also read more about our wholesale monitor pricing and order planning.
Frequently Asked Questions
What does VAT from China mean for a monitor buyer?
The VAT is paid within the Chinese manufacturing and supply chain when we purchase materials. For a qualified export, we can recover the eligible VAT through the export tax refund process. This can reduce the supplier's export price.
Is the export tax refund automatic?
No. The transaction must be genuine and supported by matching purchasing, sales, customs, logistics and payment records. We prepare and submit this evidence as part of our monthly refund process.
Do Chinese computer monitors receive a 13 percent export tax refund?
Our current computer monitor exports are processed at 13%. The applicable rate must be checked against the exact customs product code used for the shipment.
What happens if I pay in RMB inside mainland China?
An ordinary domestic RMB transfer does not create the same settlement chain as our overseas export order, so we quote it using domestic payment logic, including VAT. If an overseas buyer pays RMB through a compliant cross-border route such as CIPS or a correspondent-bank/Vostro arrangement, the payment remains part of the export transaction and can support the same export tax refund process.
Does the China export tax refund remove import VAT in my country?
No. The China-side refund can reduce the supplier's cost and export price. Import VAT, customs duties and destination charges remain subject to the rules of the importing country.
How can I check whether a factory really receives export tax refunds?
Check whether the same legal entity controls the contract, invoice, customs declaration and collection account. You can also request a redacted bank record showing a completed treasury refund.
Planning a monitor order? Contact Yanxun Display with your required specification, quantity and destination market.